AB-InBev Has Acquired Karbach Brewing Co.

AB-InBev continued its mission to acquire and absorb more breweries in early November when it acquired Karbach Brewing Co. The Texas based brewery has been rapidly expanding in recent years, having gone from 40,000 barrels of production last to year to a predicted 80,000 this year, before the buyout was announced. Now, production will grow to 150,000 barrels with the added resources of Anheuser-Busch.

The acquisition of Karbach marks the ninth brewery that AB-InBev has bought, including well known acquisitions such as Elysian and Goose Island. It also comes soon after the purchase of SABMiller for $104 billion, the largest brewery transaction in history. The combined company is now the fifth largest consumer goods company in the world.

Craft brews have continued to grow in the market as domestic sales have fallen or plateaued, so the continued purchasing makes logical sense. Still, in conjunction with purchase of numerous distributors, possibly in an attempt to secure a massive portion of the market, there is some concern that AB-InBev is attempting something of a monopoly; another craft brewery in its portfolio does little to assuage these concerns.